President Biden’s Fiscal Year 2024 budget proposal contains nearly $4.7 trillion in new tax hikes on American individuals and businesses. Biden’s proposed tax hikes come just months after Democrats passed more than $700 billion in tax increases in the so-called Inflation Reduction Act.
Biden’s budget proposal is a direct violation of the President’s campaign pledge to not raise taxes on small businesses.
Below is a list of tax hikes included in Biden’s budget proposal. This list will be updated as more details of Biden’s Budget become available.
Highest Personal Income Tax Rate Since 1986. Biden’s budget calls for a top combined federal tax rate of about 45%, the highest since 1986 when “Walk Like An Egyptian” was the number one song and the first Top Gun movie was released.
Highest Capital Gains Tax Since 1978. A rate over twice as high as China’s capital gains tax rate. Biden’s plan nearly doubles the capital gains tax rate for investment to 39.6% from 20%. The U.S. currently has a combined capital gains rate of over 29 percent, inclusive of the 3.8 percent Obamacare tax and the 5.4 percent state average capital gains rate. Under Biden, this rate would approach 50 percent. This would give the U.S. a capital gains tax that is significantly higher than foreign competitors. Blue states such as California would see capital gains rates above 60%.
Corporate Tax Rate Higher than Communist China. A 31% increase, from 21% to 28%.
President Biden raises the current 21% federal corporate income tax rate to 28%, higher than Communist China’s 25% rate. (Note: Industry sectors of strategic use to the Chinese government pay an even lower rate of 15% or 10%.)
After adding state corporate income taxes, the combined federal-state rate under Biden amounts to about 32%.
American workers would bear the brunt of Biden’s corporate tax increase.
The non-partisan Joint Committee on Taxation affirmed in congressional testimony that corporate tax rate hikes would hit “labor, laborers.“
This tax increase will be passed along to families in the form of higher prices of goods and services. For instance, a 2020 study by the National Bureau of Economic Research found that 31% of the corporate tax falls on consumers. In addition, a corporate tax increase will harm workers in the form of lower wages and fewer jobs.
Unconstitutional Wealth Tax on Unrealized Gains
Biden’s budget calls for an annual 20 percent minimum tax on the unrealized gains of individuals with income and assets that exceeding $100 million. This same proposal was included in Biden’s previous budget plan and estimated to be a $360 billion tax hike.
This tax is just the latest attempt by the Democrats to reshape the tax code and pass a tax on unrealized gains. This new tax is similar to the wealth taxes pushed by radical progressives such as Senator Elizabeth Warren (D-Mass) and Bernie Sanders (I-Vt.).
Capital gains taxes should only be paid when an asset is sold. Biden’s proposal would break with current tax policy and tax Americans based on the value of an asset on a particular arbitrary date.
This unprecedented tax would empower the IRS, encourage taxpayers to move assets overseas, and could grow to hit millions of Americans over time. It would also harm the economy, impose retroactive taxation, has failed everywhere it has been tried before, and would likely be struck down by the Supreme Court as unconstitutional.
read more here: https://www.atr.org/list-of-tax-hikes-in-bidens-budget/
Replies
The far left delivers as usual. They go after the rich and corporations, but this seems to be something that some people on this site also propose, when they lament the fact that some people are making more than "reasonable profits". I say leave the entities alone that give jobs to millions and millions of people. Instead, support them. It always trickles down and a rising tide lifts all boats. Everyobody knows that and has seen it happen over and over. The American way is simple: less government in business is good for business. That's why we are the leading economy in the world. Don't let biden or others with similar ideas about "reasonable profits" mess it up!
So, our laws governing unfair competition, deceptive trade practices, and price gouging among other immoral commercial practices are to be ignored? Should the fuedal lords of today's markets be given carte blanch when dealing with labor and the consumer in the name of free trade and excessive profit? Is child and slave labor ok and should we permit those commercial enterprises who engage in such labor practices access to US Markets?
And just what part of excessive profit do you think helps employment or expands markets... the concentration of wealth in the hands of fewer individuals each year results in less opportunity for new ownership and drives wages down... it doesn't lead to a rising tide ... it creates a RIP TIDE that sucks out the wealth o nations in the name of anything goes.
TRAITOR JOE is certainly trying to bankrupt the country. I know this will sound like a conspiracy theory, but I sometimes I wonder if his handlers in China have told him to destroy the country so they can just walk in and take over and the citizens will have nothing to say about it.
You're probably not too far from the truth, I've always believed that we should always keep our eye on China.......
Interesting thought and probably possible